His heart was in the right place. He looked at Europe's high speed rail system, versus our infrastructure which is falling apart and went "yeah, that sounds like a good 15 year investment plan." Except he tried to sell it as a job creator, economy-saver. And just sort of started handing money out to the states, some of which said "We'll pass on the railroad thanks, but we'll take the money."
It works for Europe because a high speed rail is connecting local and regional economies in ways they haven't been before. We've had rail in the US for almost a century now, our industry is still party reliant on it. Upgrading to a high speed rail system doesn't really add anything we don't already have in some capacity, as opposed to the European high speed rail system which, you know, cuts through mountains and shit to link two different countries together.
Not to like, prop up our rail system or anything, which is borderline substandard right now as far as passengers are concerned. Americans just aren't in love with rail travel like they once were. Partly that's because our passenger rail ways got shitty and consolidated in the 80s, and had a few accidents to taint public opinion on top of that. Upgrading our rail system might make more people like to travel by rail, but I don't think it'd really make a dent in our foreign oil consumption, pollution or any of that. The jobs bit might have been debatable, but again, when states didn't even want to adopt it, it never had a chance to succeed anyways. Massive public works programs may have worked during the depression, but the economy at the consumer level is just a wee bit different than it used to be then.